Newsletter

JEDO opens up field to manage sales tax revenue

JEDO board chairman Cook calls move 'historic'

Mayor Larry Wolgast speaks Wednesday evening during the JEDO board's discussion on opening the field to any person or company interested in managing the revenue from the countywide half-cent sales tax. Go Topeka has been responsible for that task since 2001.

Topeka City Councilwoman Karen Hiller speaks during Wednesday evening's meeting of the Joint Economic Development Organization in the Topeka City Council chambers.

Shawnee County Commissioner Kevin Cook used the word "historic" to describe a vote taken during Wednesday evening's meeting of the Joint Economic Development Organization in the Topeka City Council chambers.

“Historic.”

Kevin Cook, chairman of the board of directors for the Joint Economic Development Organization, used that word to describe the board’s vote Wednesday evening to open the field to any person or company interested in managing revenue from a countywide, half-cent sales tax.

JEDO board members voted 6-0 to issue a “request for proposals” from anyone interested in contracting with JEDO to manage the tax’s revenue in 2015, 2016 and 2017.

The task has been carried out since 2001 by Go Topeka, the economic development arm of the Greater Topeka Chamber of Commerce.

Doug Kinsinger, president and CEO of the chamber and Go Topeka, said after the vote that Go Topeka planned to submit a proposal and felt good about its chance of acquiring the contract.

Ten people appeared before JEDO board members to discuss the proposed change at Wednesday’s meeting, with most voicing praise for the job Go Topeka has done.

Two other speakers, Carol Marple and Joseph Ledbetter, questioned why the proposed contract would run through the end of 2017, considering the sales tax expires Dec. 31, 2016.

Shawnee County counselor Rich Eckert replied that the three-year contract would include a clause enabling JEDO to opt out of it if voters don’t extend the tax.

Proposals to try to acquire the contract are due by March 13, with JEDO members planning to choose someone to manage the tax’s revenue on April 2.

It wasn’t clear how many entities would compete. Cook said there might be as many as 50 or as few as one.

Wednesday’s vote stemmed from a discussion launched in 2011 by then-Topeka City Councilman Andrew Gray, who said Go Topeka shouldn’t have a monopoly on the right to manage the sales tax revenue.

JEDO oversees the use of revenue from a countywide, half-cent sales tax county voters approved in a 2004 ballot question election to replace an earlier, quarter-cent sales tax.

Initial estimates called for the tax to generate about $14 million annually, though it currently raises more, with $5 million going for economic development and the rest to finance specific road and bridge projects.

JEDO board members since 2001 have voted each year to contract with Go Topeka to manage revenue from the tax.

The JEDO board has seven voting members, including three from the Shawnee County Commission and four from Topeka’s governing body.